Bulldog Investors, LLP announced that it has filed a lawsuit against the bankruptcy trustee for Industrial Human Capital, Inc., a SPAC (ticker: AXH), to declare that public stockholders are not required to return funds previously held in trust and properly distributed to stockholders after the redemption of the SPAC’s Class A common stock. In letters to stockholders, the bankruptcy trustee has stated an intent to pursue such funds to satisfy claims of creditors of the SPAC. The lawsuit seeks a judgment from the U.S. Bankruptcy Court for the Southern District of Florida declaring that the trust fund was never subject to creditor claims and, in any event, public stockholders are protected by law from “claw back” lawsuits.
Morris Kandinov LLP is representing Bulldog in the litigation.
The action is Bulldog Investors, LLP v. Robert A. Angueira, solely in his capacity as Chapter 7 Trustee of the Bankruptcy Estate of Industrial Human Capital, Inc., No. 24-01027.
Contact Aaron Morris for additional information.
